Dow Jones Germany Index broke support at 210/205 Monday, warning of another sharp fall as the ECB ramps up bond purchases and German participation in the bailout program is challenged in their High Court. Plunging 13-week Twiggs Money Flow indicates strong selling pressure. Target for the fall is the 2009 low of 150*.
* Target calculation: 200 – ( 250 – 200 ) = 150
The DAX Index similarly broke support at 5500, offering a target of 4500*.
* Target calculation: 5500 – ( 6500 – 5500 ) = 4500